CRM vendors market share revealed by Gartner

CRM vendors market share for 2015 by Gartner

Gartner has shared the customer relationship management (CRM) software vendors’ market share for 2015.

The CRM market share of was 19.7 percent (18.2 percent).

SAP’s CRM market share fell to 10.2 percent from 13 percent. The share of Oracle in the global CRM market dipped to 7.8 percent from 9.1 percent. Microsoft increased its CRM software market share to 4.3 percent from 4.1 percent in 2014, said Gartner.

The size of the CRM software market was $26.3 billion (+12.3 percent) in 2015.

“The merger and acquisition activity has resulted in increased competition at the top end of the CRM market, with the continued focus of global vendors’ sales forces driving good growth worldwide in all CRM sub-segments but only for cloud or software as a service(SaaS) applications,” said Julian Poulter, research director at Gartner.

The top 5 CRM software vendors accounted for more than 45 percent of the market in 2015. The top five vendors had very little change in ranking compared with 2014, though Adobe moved into the fifth position, displacing IBM, as it continues to lead the CRM marketing segment with a focus on marketing agencies and the chief marketing officer (CMO).

CRM growth is driven by cloud service revenue, which, in the application space, uses SaaS as the major delivery model. SaaS revenue grew 27 percent year over year, which is more than double overall CRM market growth in 2015. On-premises new license revenue declined one percent for the same period.

Salesforce dominated the CRM market in 2015, with 19.7 percent of the market. Salesforce leads in revenue in the sales and customer service and support (CSS) segments of CRM, and it is now third in revenue in the marketing segment, where it is the fastest-growing segment among the top five.